: What happens to my domain if the TLD fails? I have recently registered some domains on the basically brand new .directory gTLD. Because of operating costs to maintain a gTLD, it is assumed
I have recently registered some domains on the basically brand new .directory gTLD. Because of operating costs to maintain a gTLD, it is assumed that many of the hundreds being rolled out this year and next will fail. I will admit I am not very knowledgeable on how the TLD process works.
What exactly does a new TLD failing mean? I realize that they lose ICANN accreditation, but does that just mean that they will be no longer be sold? If the .directory TLD were to go under, would my .directory domains be affected? I bought it from domain registrar Gandi if that helps.
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If a registry breaches their ICANN agreement for business or technical reasons, ICANN can force them to transfer data to another registry through the Registry Transition Process.
For gTLDs, an RFP is sent out for someone to take over the registry. If no RFPs are received or approved, then the gTLD will be closed in accordance with the gTLD's sunset rules.
The Continued Operations Instrument is used for new gTLD applicants only. This however is not guaranteed since estimates are used. New gTLD registries have to show 3 years of estimated operating expenses on hand to get approval.
I do not know exactly how these two policies fit together. I suspect that ICANN will attempt to transfer the name to another entity as soon as they can to assure continuity. If they cannot, then the COI can be used to operate the domain for as long as possible.
In addition, all registries are required to escrow their data with a third party. This assures that key whois and other information is not lost in case of a technical or business failure.
As a reseller of domains, it is my belief, gained from past experiences, that if a Registrar goes out of business, there may still be a chance to reclaim your domain name. You will need photo identification and proof that you are already the legal owner of the domain.
I strongly urge you to contact ICANN.
The new TLD operators have had to find a large bond upfront to cover the cost in case their business fails. The cost will go towards paying an "emergency registry operator" and is documented in ICANN's Continued Operations Instrument.
Not only domains won't be sold, but also they won't be served to the customers - so: yes, your domains from a failed TLD will basically disappear from the internet. That's why it's always good to have regular TLD on top of the ICANN-era one.
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